Hormel Foods (NYSE:HRL) Releases FY 2025 Earnings Guidance

Hormel Foods (NYSE:HRL) issued an update on its FY 2025 earnings guidance on Wednesday morning. The company provided earnings per share (EPS) guidance of 1.580-1.720 for the period, compared to the consensus estimate of 1.680. The company issued revenue guidance of $11.9 billion-$12.2 billion, compared to the consensus revenue estimate of $12.3 billion.

Hormel Foods Stock Down 1.0 %

HRL stock opened at $31.81 on Wednesday. The company has a market cap of $17.44 billion, a price-to-earnings ratio of 22.40, a PEG ratio of 3.42 and a beta of 0.26. The company has a current ratio of 2.29, a quick ratio of 1.03 and a debt-to-equity ratio of 0.36. Hormel Foods has a 12 month low of $28.51 and a 12 month high of $36.86. The firm has a 50-day moving average of $31.03 and a two-hundred day moving average of $31.52.

Hormel Foods (NYSE:HRL) last released its quarterly earnings data on Wednesday, September 4th. The company reported $0.37 EPS for the quarter, beating analysts’ consensus estimates of $0.36 by $0.01. Hormel Foods had a net margin of 6.52% and a return on equity of 11.03%. The company had revenue of $2.90 billion during the quarter, compared to the consensus estimate of $2.95 billion. During the same quarter in the prior year, the firm earned $0.40 EPS. Hormel Foods’s quarterly revenue was down 2.2% on a year-over-year basis. As a group, analysts forecast that Hormel Foods will post 1.58 earnings per share for the current fiscal year.

Hormel Foods Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, February 18th. Stockholders of record on Monday, January 13th will be paid a $0.29 dividend. This is a boost from Hormel Foods’s previous quarterly dividend of $0.28. The ex-dividend date of this dividend is Monday, January 13th. This represents a $1.16 annualized dividend and a dividend yield of 3.65%. Hormel Foods’s dividend payout ratio is 79.58%.

Analysts Set New Price Targets

Several analysts have recently weighed in on the stock. Stephens assumed coverage on shares of Hormel Foods in a research note on Thursday, October 3rd. They issued an “equal weight” rating and a $31.00 price target for the company. Citigroup dropped their price target on shares of Hormel Foods from $36.00 to $35.00 and set a “buy” rating for the company in a research note on Tuesday, November 19th. Finally, BNP Paribas began coverage on shares of Hormel Foods in a research report on Monday, October 21st. They set an “underperform” rating and a $28.00 price objective for the company. Two investment analysts have rated the stock with a sell rating, four have issued a hold rating and one has assigned a buy rating to the company. According to MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $31.29.

Insider Buying and Selling at Hormel Foods

In other news, VP Steven J. Lykken sold 9,800 shares of the firm’s stock in a transaction on Friday, September 27th. The shares were sold at an average price of $31.91, for a total value of $312,718.00. Following the sale, the vice president now directly owns 30,589 shares in the company, valued at approximately $976,094.99. This trade represents a 24.26 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Deanna T. Brady sold 51,600 shares of the firm’s stock in a transaction on Friday, September 13th. The shares were sold at an average price of $31.95, for a total transaction of $1,648,620.00. Following the completion of the sale, the executive vice president now owns 72,421 shares in the company, valued at $2,313,850.95. The trade was a 41.61 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 71,400 shares of company stock valued at $2,288,338 in the last 90 days. Company insiders own 0.69% of the company’s stock.

Hormel Foods Company Profile

Hormel Foods Corporation develops, processes, and distributes various meat, nuts, and other food products to retail, foodservice, deli, and commercial customers in the United States and internationally. It operates through three segments: Retail, Foodservice, and International segments. The company provides various perishable products that include fresh meats, frozen items, refrigerated meal solutions, sausages, hams, guacamoles, and bacons; and shelf-stable products comprising canned luncheon meats, nut butters, snack nuts, chili, shelf-stable microwaveable meals, hash, stews, tortillas, salsas, tortilla chips, nutritional food supplements, and others.